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Scenario: An enterprise is evaluating multiple third-party generative AI tools to integrate into its platform. As part of its AI governance policy, it is assessing themost effective methodsto reduce risks related to bias, data misuse, and liability when using third-party solutions. All of the following are commonly adopted processes and policies in reducing potential risks introduced by third-party AI tools or applications EXCEPT:
Correct Answer: B
The correct answer isB. AllowingPIIto be freely entered into prompts without safeguards is considered amajor privacy and security riskand is not a responsible governance practice. From the AIGP ILT Guide - Generative AI & Third-Party Risk Management: "Use of personal or sensitive information in AI prompts can result in unintended exposure, regulatory breaches, and downstream liability." The AI Governance in Practice Report2025highlights: "PII should be minimized or protected by design. Prompt engineering should prevent entry of personally identifiable data unless legally and technically safeguarded." A, C, and D are established best practices under responsible AI procurement and use.